Microsoft’s Cloud Business Slows

Per-share earnings fall short of Wall Street expectations

Microsoft Corp., a rare tech stalwart that has appeared to be making a deft transition to the new world of Web-based, on-demand computing, faltered in the most recent quarter as the growth of its cloud business slowed.

Revenue from Microsoft’s Intelligent Cloud segment, which includes its Azure on-demand computing services as well as its older server software sales, grew 3% to $6.1 billion. The gain was 8% in constant currency, and the company said that Azure grew 120% in constant currency.